Coffee Holding Company (JVA)

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Coffee Holding Announces Execution of Agreement to Acquire Sonofresco
STATEN ISLAND, NY / ACCESSWIRE / June 24, 2016 / Coffee Holding Co., Inc. (JVA) ("Coffee Holding" or the "Company") announced today that it has entered into an Agreement for Purchase and Sale of Assets (the "Agreement") with Coffee Kinetics LLC, a Washington limited liability company, doing business as Sonofresco ("Sonofresco") for the purchase of substantially all of the assets of Sonofresco. Founded in 1999, Sonofresco is a manufacturer of commercial table top coffee roasters and a wholesale supplier of green coffee beans. Sonofresco's customers include retail coffee and home roasting businesses and Sonofresco oversees importers in the Asian, Australian and New Zealand markets. Revenues generated by Sonofresco are split almost equally between sales of roasting machines and sales of unroasted green coffee beans. Jerry Whitfield, the head of Sonofresco, will continue to serve as an advisor to our Sonofresco business. The closing of the transaction is subject to customary closing conditions and is expected to close on or about June 30, 2016.

"This is a very exciting transaction for us," said Andrew Gordon, President and CEO of Coffee Holding. "Sonofresco expands our already extensive reach in sales of high end specialty gourmet Arabica coffees by giving us access to Sonofresco's significant customer base, which will more than double the number of our green coffee customers. In addition, through the synergies of this acquisition, we will be able to offer Sonofresco customers our extensive list of over 90+ specialty Arabica beans which were not available to them before. We intend to expand Sonofresco's roasting machine sales both domestically and in the overseas market using our highly scalable platform with our established relationships, market reputation and presence and our overall financial capabilities. We intend to vertically integrate Sonofresco's current business model by offering products complimentary to their table top roasters, such as grinders and espresso machines, in order to give customers a more complete turn-key roasting operation. We expect that this deal will be accretive to both our bottom and top line numbers," continued Andrew Gordon, President and CEO of Coffee Holding.
https://finance.yahoo.com/news/coffee-holding-announces-execution-agreement-130000734.html